arbitrage
Translation
arbitrage
Examples
He made a profit through currency arbitrage.
He made a profit through currency arbitrage.
Risk-free arbitrage opportunities are rare.
Risk-free arbitrage opportunities are rare.
Grammar Patterns
((noun)) the simultaneous buying and selling of securities, currency, or commodities in different markets. He made a profit through currency arbitrage.
Similar Words
Synonyms: speculation, hedging
Etymology
From French 'arbitrage' (arbitration, judgement), from Latin 'arbitrari' (to judge). The financial sense comes from a broker making a 'judgement' on prices.
Memory Tips
Imagine an 'arbiter' (a judge) deciding between two different prices and taking the profit. 'Arb-it-rage' sounds like 'grab the rate'.